Times are uncertain. We have just had a year-long pandemic. There is a war going on. There was a severe earthquake in Turkey and Syria. The geopolitical situation continues to be volatile with several nations on the brink of bankruptcy and civil war. There is an impending recession. In all this chaos and uncertainty the IMF’s latest Outlook said, India retains the crown of “a bright spot”.
The impact of hiring
It is not surprising that recruiters in India are busy hiring talented Indians to work for their foreign client’s companies.
This is not as straightforward. For foreign companies that have a local entity in India, there’s no problem. They can simply hire people in their Indian entity. However, for companies that don’t have any footprint in India, it is a challenge. Generally, to around this issue, foreign companies hire professionals directly as freelancers or contractors. Sometimes they hire professionals through other local Indian businesses, like for e.g. their outsourcing partner. While this may seem fine, it creates an administrative nightmare for foreign businesses.
There seems to be little attention paid to hiring Indians directly, in a way that is compliant, sustainable and beneficial to everyone involved.
Remunance leads the way
At Remunance, we don’t mind becoming a torchbearer, a pioneer of PEO services in India.
We sat our legal and finance teams down to figure out how to hire properly. They researched various business models including the overseas PEO, and EOR industry models and came up with PEO services in India.
The DPIIT recognised Remunance
Recently we got recognised by the Department of Industry and Internal Trade (DPIIT), Government of India, as a scaling ‘Startup’ under India’s prestigious Startup India program. Click here to learn more. Startup India is a program envisioned by Prime Minister, Narendra Modi, intended to grow the startup ecosystem and drive economic growth and generate employment in the country . This recognition is a testament to our company’s commitment to creating jobs and contributing to the growth of the economy.
How does Remunance look after your remote employees?
Here’s a quick overview of some of the initiatives we have implemented for your remote employees working with us.
Remunance gives market-linked salaries to employees.
As you can anticipate, there is a large range of salaries for every technical position. Largely due to factors like their years of experience, overseas experience, mastery of the craft, local or overseas degrees and qualifications, cost of living, current salary level and the capacity of the new employer to pay. However ultimately, it all boils down to the “market”. The national average removes much of the noise to give us a good sense of the salary paid to the individual. Remunance matches the national average in more than 90% of the cases.
If you are an owner of a business in the west then even this national average is significantly lower than the salary you pay in your country. And depending on which country you are from, this figure can be as low as one-third to one-fourth of your local salary bill.
Surprised? Click here and drop us your details. We will get back to you and answer all your queries. Alternatively, click here to set up your zero obligations meeting with our friendly and experienced consultants.
Benefits in India
In India, employees are entitled to receive gratuity and medical insurance. Remunace pays both.
Employees completing five years or more with a business are automatically entitled to receive gratuity. Gratuity becomes part of their monthly salary. It is a benefit designed to help employees who are retiring.
It is one-fourth of their last-drawn basic salary, paid half-yearly after completing their mandatory period of 5 years of employment with the employer. The gratuity amount payable at retirement is 16 times their basic salary and is subject to a cap of ₹ 20 lakh.
Medical insurance was made compulsory by the Indian government. Until April 2020 i.e. post-COVID-19 it wasn’t. Remunance is a compliant employer. We buy employee group health insurance for all our employees.
‘Group Insurance’ is different from the typical individual or family health insurance. Group insurance is available to employers who insure their employees in bulk. They receive discounts on their insurance premiums.
It’s a win-win-win! The employer wins due to the discounted premium. The employee wins from wider and/or superior medical coverage, and the insurer wins because they get a large number of employees in one go.
More than 90% of Remunance’s employees work for a foreign company, our clients. Employees working for a foreign company tend to have better self-esteem.
There are several soft benefits and development opportunities. For example, there is an exchange of cultural ideas apart from technical ideas. Employees learn from native English speakers and develop their communication skills. They learn new skills and best practices. Their worldview broadens along with their professional network. Working with a foreign is good for their resume as they are seen to have an edge over their competitors.
Employee happiness is easy!
Our HR team listens to our employees. We actively consider their suggestions. The management takes time to provide feedback. Employees also receive expert advice and guidance when necessary.
Our employees receive salaries on time. This may seem trivial but it is an extremely important issue for salaried workers.
Employees receive policy-based bonuses. This goes a long way in boosting their morale as they feel appreciated.
Employees get trained. Our HR team actively works with employees and clients to plan training programs. Employees become more productive and valuable.
They develop an affinity for the company when they receive little things like a surprise gift and a birthday card on their birthdays.
When our efforts improve our employees’ morale, we simply say, thank you!
Click on the below if you would like us to get in touch with you, or learn more about our PEO/EOR service.